The US Chamber of Commerce, in conjunction with MetLife, has released its latest Small Business Index (SBI) for Q1 2024. The SBI is a survey of small businesses nationwide on numerous topics that have been impacting them during the past few months, including fiscal issues and other challenges.
According to the quarterly survey, small businesses continue to feel that the economy is stable, slightly more optimistic than last quarter (62.3 for Q1 vs. 61.3 for Q4 2023). For reference, the highest SBI in the past four years was Q3 2023 at 69.2, while the lowest occurred in Q2 2020—the height of the pandemic—at 39.5. The score has remained in the range of the low 50s to the low 60s most of that time.
With no surprise, most small businesses (52 percent) continue to report—for the seventh straight quarter—that inflation is their top concern. However, they were also more likely to say that the overall US economy was in good health—32 percent versus 25 percent from last quarter—and that their local economic outlook was good (38 percent versus 30 percent in Q4 2023).
Some additional points of data:
- 71 percent of companies said that they are adequately prepared for future threats, although 27 percent said that they are one threat away from shutting down their business.
- 80 percent said that they have a plan on how to change their business if a struggle arises.
- 62 percent reported having a rainy-day fund, with 61 percent claiming it’s adequate.
- A new threat emerges: 60 percent of companies claim that cybersecurity is among their chief issues, although 73 percent said they felt prepared should an attack happen to their business.
The full report is available here.
Visit uschamber.com for more information.
[04.09.24]